CIBC’s net-zero target is backed by 2030 emissions reduction targets for its oil and gas portfolio
- CIBC committed to working with carbon-intensive industries to successfully transition to net zero emissions
- The goal is to reduce Scope 1 and 2 emissions intensity by 35% and Scope 3 emissions intensity by 27% for the oil and gas portfolio
Toronto, March 31, 2022 /CNW/ – CIBC (TSX: CM) (NYSE: CM) today announced a goal to significantly reduce the carbon intensity of its emissions financed by the oil and gas industry by 2030. Following the bank’s net-zero ambitions combined with operations and financing to 2050, CIBC will accelerate climate action and implement its goal-driven strategy.
At the same time, CIBC is prioritizing work with carbon-intensive industries and increasing support to help these industries adapt to the world’s transition to a low-carbon economy.
CIBC 2030 Oil and Gas Portfolio Targets:
- 35% reduction in operational emissions intensity (Scopes 1 and 2); and
- 27% reduction in end-use (Scope 3) emissions intensity compared to the 2020 baseline.
“Climate change is a critical and defining issue of our time, and CIBC is taking important steps to help stakeholders engage and forge a new path for a low-carbon future,” said Victor Dodig, President and CEO of CIBC. “The goals we set will be key to accelerating our action on climate change, and we are committed to supporting our customers as we navigate this transition together and achieve our shared ambition for a more sustainable future.
Working with clients to achieve its net zero goal, CIBC has recently established the Energy Transition Investment Banking Group, which focuses on advising and solutions to clients in cutting-edge financial markets, energy and infrastructure.
“We are encouraged by our clients’ commitment to realising their sustainability ambitions, and our team will continue to bring combined expertise, scale and reach to support them throughout the transition,” said Harry CoolumHead of CIBC Capital Markets Group.
CIBC’s objectives include issuance and facilitation of financing related to its corporate loans, including its share of real economic allocations underwritten in equity capital markets and debt capital markets. CIBC recognizes that setting net zero targets for a range of fundraising activities is an emerging practice and will continue to leverage the best available science and technology and follow industry standards. CIBC also intends to support its clients’ transition goals through its lending activities.
Recognizing the scale and urgency of climate change, CIBC intends to set an additional target by the end of 2022. As a member of the Net Zero Banking Alliance (NZBA), the Centre for Climate-Related Finance, from the Partnership for Carbon Accounting Finance (PCAF), and under the guidance of the Working Group on Climate-related Financial Disclosures, CIBC is working with its peers to improve collaboration with lending and investment Transparency in associated GHG assessments and disclosures and bring these activities to net zero.
CIBC’s efforts to accelerate climate action include:
- 20% reduction in absolute GHG emissions (Scope 1 and 2) from our North American operations based on our 2018 baseline
- $34.9 billion 2021 targets for sustainable financing mobilization – and $300 billion by 20301
- Top 10 Funds for the Renewable Energy Industry North America2
- Launched Carbonplace, a new technology platform for voluntary carbon markets, as part of an international joint effort by major global banks to help businesses achieve zero-emissions goals
- $100 million A limited partnership (LP) dedicated to investing in key funds for climate technology and the energy transition
To learn more about CIBC’s net zero approach, please visit: https://www.cibc.com/en/about-cibc/corporate-responsibility/net-zero-ambition.html
Sustainable finance primarily involves client activities that support, but are not limited to, renewable and zero-emission energy, energy efficiency, sustainable infrastructure, green buildings, finance and products related to sustainability. CIBC’s offerings are included in our engagement commitment to support these client activities, including loans and loan syndication, debt and equity underwriting, M&A advisory and principal investment.
North American Renewable Energy Rankings infrastructure Valid for transactions from January 1, 2021 until September 30, 2021.
Note Regarding Forward-Looking Statements: We make written or oral forward-looking statements within the meaning of certain securities laws from time to time, including in this press release, other filings with Canadian securities regulators or the U.S. Securities and Exchange Commission and other communications. Such statements include, but are not limited to, statements contained in this press release regarding CIBC’s net-zero approach, its sustainability goals, and net-zero goals for its operating and financing activities by 2050, as well as statements regarding our current financial position, Priorities, goals, objectives, strategies and prospects. As we strive to achieve our Environmental, Social and Governance (ESG) goals, external factors beyond CIBC’s reasonable control may hinder the achievement of these goals, including, on the other hand, various efforts to decarbonize the economy, the need for global consideration climate policy, the availability of comprehensive, high-quality GHG emissions data (including that of CIBC clients), the evolution of our portfolio over time, a soundly substantiated approach, the need for active and ongoing stakeholder engagement (including corporate , financial institutions, governments and NGOs), the deployment of new technologies and solutions for specific industries, changing consumer behavior, the challenge of balancing intermediate emissions targets, an orderly transition, and the development of regulations and frameworks internationally. These and other factors, including general business and economic conditions around the world; changes and interpretations of risk-based capital guidelines; and changes in monetary and economic policies, could cause actual results to differ materially from the expectations expressed in forward-looking statements, and CIBC may be required to adjust its initiatives and activities or adjust its objectives. The forward-looking statements in this press release are intended to help customers and others understand our strategic goals and priorities and may not apply for other purposes. Forward-looking statements are subject to inherent risks and uncertainties, which may be general or specific. We do not undertake to update forward-looking statements, except as required by law.
CIBC is North America’s leading financial institution with 11 million personal, commercial, public sector and institutional banking customers. In personal and commercial banking, commercial banking, wealth management and capital markets, CIBC provides a full range of advice, solutions and services through its leading digital banking network and its branches around the world. Canada Has an office America and around the world.For the latest press releases and more information from CIBC, please visit www.cibc.com/en/about-cibc/media-centre.html.